This is a trend following analysis using a breakout entry formation that generally has the greatest results. This analysis is good for 4H trading, but can also be used on almost all time frames and on all pairs. Basically, this analysis is based on breakout and certain forms of reversals. The analysis seeks to highlight potential breakout setups that can result in higher reward. To ensure consistent successful trades, the trader should exercise some degree of patience and wait for the perfect set up to execute trades. There’re are several types of breakouts, I only focus on two types of breakouts, trend line breakout and double top/triple top/ bottom breakout. Even with the two, I only trade double top/ triple bottom breakout most of the times and trend line breakout at some other times. Double top/Triple top/ bottom breakout is more dependable and reliable than the other. Note, trend line breakout includes also breaks that occur out of various shapes such as wedges, channels, triangles, and all the other shapes part from rectangles. Below are the simple sketches of some of the breakout setups I’ll be focusing on.
Technical observation EUR is retracing to the resistance zone 0.9900-0.9880 and I expect a rejection of price within it followed by a possible rally to the lower side. My advice, remain neutral temporarily and wait for a correction to the zone indicated above then sell a bounce within it with your
Technical observation GBP is trading with an increasing bullish bias below the resistance zone 1.1460-1.1427 and I expect a continuation of this upwards movement to the same zone followed by a rejection of price within it. As it is on the chart above, I would recommend that you remain neutral tem
Technical observation USD rose to the resistance level 144.82 but did not break below it, instead it bounced at the same line and currently it is trading with an increasing bearish bias, This downwards movement is a correction to the supportive zone price established at 140.66-140.33 and I would